FEBRUARY 2012

INVESTOR PRESENTATION

Building On Our Success

PMD - TSXV

Forward-looking statement

All monetary amounts in U.S. dollars unless otherwise stated.

This presentation contains certain “forward-looking statements” and “forward-looking information” under applicable Canadian securities lawsconcerning the business, operations and financial performance and condition of PetroMagdalena Energy Corp. Forward-looking statementsand forward-looking information include, but are not limited to, statements with respect to estimated production and reserve life of the variousoil and gas projects of PetroMagdalena Energy; synergies and financial impact of completed acquisitions; the benefits of the acquisitions andthe development potential of the properties of PetroMagdalena Energy; the future price of oil and natural gas; the estimation of oil and gas

reserves; the realization of oil and gas reserve estimates; the timing and amount of estimated future production; costs of production; success ofexploration activities; ANH/ Ecopetrol approval of transfer of title and operatorship of joint ventures; and currency exchange rate fluctuations.Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-lookingstatements. Forward-looking statements are frequently characterized by words such as “plan,” “expect,” “project,” “intend,” “believe,”“anticipate”, “estimate” and other similar words, or statements that certain events or conditions “may” or “will” occur. Forward-lookingstatements are based on the opinions and estimates of management at the date the statements are made, and are based on a number ofassumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materiallyfrom those projected in the forward-looking statements. Many of these assumptions are based on factors and events that are not within thecontrol of PetroMagdalena Energy and there is no assurance they will prove to be correct. Factors that could cause actual results to varymaterially from results anticipated by such forward-looking statements include changes in market conditions, risks relating to internationaloperations, fluctuating oil and gas prices and currency exchange rates, changes in project parameters, the possibility of project cost overrunsor unanticipated costs and expenses, labour disputes and other risks of the oil and gas industry, failure of plant, equipment or processes to

operate as anticipated, acquisitions not being integrated successfully or such integration proving more difficult, time consuming or costly thanexpected as well as those risk factors discussed or referred to in PetroMagdalena Energy’s public filings with the securities regulatory authoritiesin the provinces of Canada and available at www.sedar.com. Although PetroMagdalena Energy has attempted to identify important factorsthat could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be otherfactors that cause actions, events or results not to be anticipated, estimated or intended. There can be no assurance that forward-lookingstatements will prove to be accurate, as actual results and future events could differ materially from those anticipated in suchstatements. PetroMagdalena Energy undertakes no obligation to update forward-looking statements if circumstances or management’sestimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance onforward-looking statements. Statements concerning oil and gas reserve estimates may also be deemed to constitute forward-lookingstatements to the extent they involve estimates of the oil and gas that will be encountered if the property is developed. Comparative marketinformation is as of a date prior to the date of this presentation.

Boe may be misleading, particularly if used in isolation. A boe conversion ratio of 6 mcf:1 bbl is based on an energy equivalency conversionmethod primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. The management estimates ofresources presented herein are arithmetic sums of multiple estimates of remaining recoverable resources (unrisked), which statistical principlesindicate may be misleading as to volumes that may actually be recovered. Readers should give attention to the estimates of individual classesof resources and appreciate the differing probabilities of recovery associated with each class. Estimates of remaining recoverable resources(unrisked) include prospective resources that have not been adjusted for risk based on the chance of discovery or the chance of developmentand contingent resources that have not been adjusted for risk based on the chance of development. It is not an estimate of volumes that maybe recovered. Actual recovery is likely to be less and may be substantially less or zero.

Although PetroMagdalena has closed the acquisitions of its working interests in Carbonera, Catguas, Rio Magdalena, Arrendajo, Yamu,Topoyaco, and Mecaya, it is currently in the process of completing the required approvals from ANH/ Ecopetrol, as applicable, for the formaltransfer of title and or operatorship.

2

3

1. Focus on organic cash flow opportunities in our portfolio

2. Enhance netbacks, reduce costs, increase efficiency

3. Increase development activity in 2012 in the Llanos Basin from exploration success

4. Maximize value from assets in our portfolio – leverage

relationships with strong partners

5. Identify near term production growth opportunities in Colombia

EXPERIENCED LEADERSHIP

IMPROVING OPERATING CASH FLOW

HIGH POTENTIAL

EXPLORATION ASSETS

DRIVING VALUE

Focus on Value Creation

Goal is to increase production and reserves3

PetroMagdalena Today:

Exploration

Unrecognized upside potential

Significant success in the light oil Llanos exploration program

Catatumbo exploration drilling program has started

Production

Light Oil development drilling in Llanos– 10 development wells in

2012

Production doubles over last year

Light oil pricing tracking Brent pricing

With the growth in reserves and production, expand portfolio

where opportunities leverage expertise and logistics

4

Building On Our Success

Diversified portfolio

CATATUMBO Basin•Santa Cruz (1)

•Carbonera-La Silla(1)

•Carbonera •Catguas

LLANOS Basin•Cubiro(2)

•Arrendajo •La Punta •Yamu

PUTUMAYO Basin•Topoyaco•Mecaya

MAGDALENA Basin•Las Quinchas•Rio Magdalena

RED blocks: 2010 ANH E&P

blocks

Agreements subject to ANH or

Ecopetrol approval

(1) Operated by Mompos Oil and

Gas, a wholly owned subsidiary.

(2) Operated by Alange, Corp. a

wholly owned subsidiary.5

Investment Environment – Opportunities Exist

• Increasing number of oil and gas operations in Colombia, 150 companies in 2011

vs. 158 in 2012, with the potential of more junior companies entering through 2012

Ronda auctions.

• Today, approximately 13% of Exploration and Production (E&P) and TEA blocks

are listed as suspended or non-compliant, many fail to deliver (source: ANH)

• International E&Ps are trading at compressed multiples relative to Canadian E&P

companies, creates value gap

These factors combined demonstrate an investment environment for successful

operators with exploration success and organic cash flow to acquire, or farm in to

assets that are under-funded with exploration upside

0%

20%

40%

60%

80%

0

50

100

150

2004 2005 2006 2007 2008 2009 2010 2011

Succ

ess

Fac

tor

Nu

mb

er

of

We

lls

Exploratory Drilling in Colombia

Total Success Factor

• Consistently high exploration success

factors in Colombia have encouraged

investments that are key success factors

for future opportunities

0

2

4

6

8

10

$0

$100

$200

$300

$400

Q4 2010 Q1 2011 Q2 2011 Q3 2011

Nu

mb

er

of

Co

mp

anie

s

Mill

ion

s

Financing

Total Gross Equity Capital Raised

• Public market financing on declines, farm-

ins and acquisitions with current cash flow

are important means to growth for

Colombian E&Ps 6

7

86% increase in 2P reserves at Cubiro

Technical Report dated September 30, 2011:

• Updated 2P reserves at Cubiro to 10.8 mmbls – an increase of 5.0 mmbls,

or 86%, compared to December 2010 report

• Updated 1P reserves at Cubiro to a total of 3.0 mmbls, or 73% increase

compared to December 2010 report

• Oil discoveries at Cubiro demonstrate exploration potential

• Production growth funds ongoing work plan for Cubiro

Cubiro L & M Oil Reserves (Mbbls)

100% Gross Net

Proved Developed

Producing1,981 1,216 1,119

Proved Undeveloped 2,776 1,734 1,595

Total Proved 4,757 2,950 2,714

Probable 13,076 7,873 7,243

Total 2P 17,833 10,823 9,957

Source: Petrotech Engineering Ltd. report on Cubiro block, September 30, 2011

8

Cubiro 2P Reserves Changes in 2011

Source: Petrotech Technical reports: September 30, 2011, December 31, 2010 and 2009

Daily Average Production 2010-2011

0

500

1000

1500

2000

2500

3000

3500

4000

4500

'10 Q1 '11 Q2 '11 Q3 '11 Q4 '11Dec '11 *

bo

ed

Copa A Sur-1

Copa B-1

Petirrojo Field

Yamu

32.13% Cubiro Block C acquired

Arauco5/ Careto 13H

2010 base wells

PetroMagdalena’s Gross Working Interest

* Daily average for month of December 2011

* Petirrojo 2 & 3 put on production in December. 9

• Enhancing operating netback from Cubiro production

• Oil marketing contract in conjunction with Pacific Rubiales

• Ongoing opex reduction programs

• Efficiencies generating positive trend in G&A per barrel produced

Ne

tba

ck

pe

r

ba

rre

lG

&A

pe

r ba

rrel

Strengthening Operating Cash Flow

$-

$5.00

$10.00

$15.00

$20.00

$25.00

$30.00

$35.00

$-

$10.00

$20.00

$30.00

$40.00

$50.00

$60.00

Q2 - 2010 Q3 - 2010 Q4 - 2010 Q1 - 2011 Q2- 2011 Q3 - 2011

Operating Netback per barrel G&A per barrel

10

(1) Management estimates, as of February 2012

(2) Vasconia as of February 21, 2012 priced at WTI +12.75/bbl

• A 3-year conventional oil marketing agreement signed with Pacific

Rubiales effective February 1, 2011.

• Bicentenario pipeline is scheduled to be commissioned mid

2012, potential to reduce trucking costs by up to US$ 7.00/bbl.

Illustrative summary of potential netbacks from crude oil sales from Cubiro production (1)

(US$ per barrel)

Delivery Point / Reference Price Guaduas / Vasconia (2)

WTI (Nymex: February 21, 2012) 105,84

Benchmark Quality Adjustment (February 21, 2012) 12,75

Royalties (7,00)

Net Revenue 111,59

Production Costs (Q4 - 2011) 14,50

Transportation & pipeline 22,50

Operating Netback 74,59

Cubiro’s Netback

11

2012 Work Program Overview

2012 Work Program Overview

• Capital expenditure program estimated at $50 to $60 million, excludingcommitments funded by farm-ins (Carbonera, Catguas).

• 65% to be directed to light oil exploration and development in Cubiro andArrendajo.

• 6 Llanos exploration wells planned, 4 in Q1, 1 in Q2, and 1 Q4.

• 10 Llanos development wells planned, 1 in Q1, 3 in each subsequent.

• 2012 Llanos exploration program:Management estimate of light oil recoverable prospective resources,

company’s working interest share would be close to doubling 2P Llanosreserves Un-Risked or approximately + 40% Risked

• Capital intended to be funded from cash and internally generated cash flow.

• No near term financing expected to be required to fund 2012 work plan.

• Cash flow estimate for 2012 includes no production volumes for any of theexploration wells currently being drilled or to be drilled in 2012.

12

Property Work Program 2012(1) Approximate timing - 2012

Exploration Drilling

Cubiro

• 4 wells in Area ‘B’

• 1 well in Area ‘C’• 1 contingent wells ( Area ‘C’)

• 4 in Q1, 1 Q2, 1 Q4

Arrendajo • 1 well (Arrendajo Norte-1X) • 1 well in Q1-2012

Carbonera • 1 well • 1 well in TD in Q2-2012

Santa Cruz • 1 well • Q4 2012

Development Drilling

Cubiro• 7 wells• 3 contingent wells

• 1 well spud in Q1-2012• 3 wells each subsequent qtr.

13

(1) Management Estimate, subject to change

Estimated 2012 capital investment: $50 million - $60 million (1)

2012 Work Program

14

(1) Management estimate, 2012E calculated with an $80/bbl WTI pricing.

(2) Represents estimated revenues less royalties, production and transportation/pipeline costs based upon average daily

production of 2,800 boed for 2011E and 4,500 boed (mid-point of management guidance range)for 2012E.

(3) Includes interest of $3M and funds being set aside from cash flow for principal repayments of senior notes in May 2012 and

May 2013. The 2012E amount is net of $4M in a trust account as of December 2011 to be used toward the first annual principal

repayment in May 2012 of the senior notes (TSX-V: PMD.DB).

(4) Management estimate; subject to change.

2012E

Average daily production for the year (gross before royalties)(4) 4,300-4,700 boed

Cash flow from operating netbacks (2) $82M

Less: G&A $16M

Less: Debt service (principal & interest) (3) $20M

Less: Equity tax instalments $ 2M

Net cash flow from operations $44M

Cash position, beginning of year $15M

Cash available from equity financing for work program -

Other sources/ (uses), including working capital changes and cash from asset dispositions (4) $ 7M

Total cash available to fund annual work program $66M

Annual work program expenditures (4) $50-$60M

Annual Cash Flow (1)

15

Operator: Alange, Corp. (1)

WI: A:60.5% B:70% C:57.13%Contract: ANH

Product: L/M OilArea: 61,295 acres2P Reserves: 10.8 MMbbl (2)

Production: 2010 A (Year Avg): 1,905 bopd2011 A (Year Avg): 2,138 bopd

Llanos Basin – Cubiro

(1) A wholly owned subsidiary of PetroMagdalena

(2) Petrotech Report dated Sept. 30, 2011, PetroMagdalena share, gross before royalties

About Cubiro

• Most prolific hydrocarbon basin in Colombia

• Currently producing from 21 wells in theCareto, Arauco, Barranquerro, Petirrojo, Yopo andCopa fields

• 86% increase in 2P reserves (Sept 2011 vs Dec 2010) (2)

• 2011 Exploration program with four discoveries:

Petirrojo, Copa B, Copa AS and Yopo.

• Sept 30, 2011 update from three discoveries with 5.1MMbbl of recoverable reserves (2P) (2)

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Llanos Basin - Cubiro

Polygon A :

Development Area

60.5% W.I.

Polygon B :

Exploration Area

70% W.I.

Polygon C :

Exploration Area

57.13% W.I.

Highlights

• Operated by PetroMagdalena

• All production is subject to the sliding

scale royalty rates of ANH and a 3%overriding royalty on total productionfrom the Block.

• The Cubiro Block has been under an E&PContract with ANH since October 8,2004, exploration phases followed by a25 year production period.

• Currently, there are nine producing oilfields: Careto, Arauco, Barranquero,Petirrojo, Yopo, Copa, Copa B, Copa ASur and Cernicalo.

• Currently producing from Carbonera C-5, C-7 and Gacheta formations.

• Four new fields discovered at Petirrojo,Copa B, Copa A Sur and Yopo in 2011.

Field

Prospect

C537 °API

PalmaritoC7 40 °API

Caño GandulC5-C738 °API

Careto

Arauco Sirenas

GuanapaloC730 °API

BarranqueroPetirrojo

Altair

Copa

C7

Canario Sirenas Sur

AlondroQ1 -2012

Tijereto SurQ1-2012

Yopo, Q4-2011

Petirrojo SurQ2 - 2012

Copa B

Copa A Sur

JordánC729 °API

Copa C, Q3-2012

Copa A Norte Q4-2012

CernicaloQ1-2012

17

Petirrojo Field, Petirrojo South & Yopo Prospects

• Yopo 1X discovery well spud on

December 11th, 2011, and drilled to afinal depth of 6,790 feet (MD). The wellinitially tested at a stabilized rate of 970bopd with 4.7% BS&W for 6.5 hours at anaverage wellhead pressure of 385 psi.

• Petirrojo South will be drilled in Q2-2012, civil work to be completed in

Feb, 2012.

(1) Company share, Sept 30, 2011 technical report

1 Km

Yopo Field

Petirrojo Field

Petirrojo-1

Carbonera C7TWT Seismic Map

Petirrojo South Prospect

2P RESERVES

(Mbbls)

Petirrojo 2,036

CURRENT TECHNICAL REPORT (1)

2P Reserves

(Mbbls)

Copa B 1,230

Copa A Sur 1,831

CURRENT TECHNICAL REPORT (1)

Copa B Field, Copa A Sur & Copa AN Prospects

• Copa B-1 exploration well encountered 41 ftof net pay. Daily average production duringOctober has averaged 765 bopd(Company share 437 bopd). ESP stoppedworking October 20th; the well went backon production Nov 9th .

• Copa A Sur-1 exploration well successfully

drilled with Initial 4-day test rate of 1,114bopd (Company share, 636 bopd) of 38.4°

API light oil on natural flow.

• Copa A Sur-1 went on production Nov 6th .

• The Copa C structure to the south of CopaB will be drilled in Q1-2012

Carbonera C7TWT Seismic Map

Copa B Field

Copa B -1

Copa ASur Field

1 Km

Copa AN Prospect

(1) Company share, September 30, 2011 technical report

Copa ASur-1

18

Cubiro ‘C’ Area – Copa Upside

2P RESERVES

(Mbbls) 100% Gross Net

Copa Field 3,008 1,718 1,582

Copa A Sur 3,205 1,831 1,684

Copa B 2,153 1,230 1,142

8,366 4,779 4,408

Sept 30, 2011 Technical Report

Copa Field

Copa A Norte

Copa A Sur

Copa B

Copa C

Copa D

Producing

Exploration 2012

Development

Carbonera C7 TWT Seismic Map

19

20

Highlights

• Arrendajo is 7 km NE of the Cubiro block

• Operated by Pacific Rubiales Energy

• 120 km2 of 3D survey completed in April 2011,interpretation shows 6 light oil prospects ontrend with producing oil fields

• Azor discovery in Jan. 2012 on permanent

production Feb. 25th, 2012.

• Five more exploration prospects in theCarbonera formation have been identified:Yaguazo, Arrendajo Norte, Arrendajo Sur, MirlaBlanca, and Mirla Oeste

• PetroMagdalena acquiring 32.5% workinginterest, from Pacific Rubiales, subject to ANH

approval, for $10 million to be paid out ofproduction.

Llanos Basin – Arrendajo

(1) A wholly owned subsidiary of Pacific Rubiales Energy.

(2) Petrotech Engineering report April 2010, adjusted for the 32.5% interest being acquired from Pacific Rubiales.

Operator: Pacific Stratus Energy Colombia (1)

WI: 67.5%Contract: subject to ANH approvalProduct: Light Oil Area: 78,102 acresResources: 8,259 Mbbl (2)

Stage: Exploration

ARRENDAJO

CUBIRO

Arrendajo NorteQ1-2012

Yaguazo

MirlaOeste

AzorQ4-2011

Arrendajo Sur

Mirla Blanca

Mirla Negra

Arrendajo Block Azor discovery - Upside

Producing

Exploration 2012

Exploration 2013

Development

Arrendajo Norte

Yaguazo

Azor

Mirla Negra

Carbonera C7 TWT Seismic Map

• Azor-1X well drilling has been

completed and was put on

production on January 31, 2012. It will

add 587 bopd to our gross working

interest production.

• 3D seismic evaluation identified four

new prospects on the Azor trend.

• Mirla Negra-1X was drilled in 2008 and

tested oil in the C5 but was not

declared commercial

21

22

Topoyaco & MecayaContracts: ANH

Operator:Topoyaco – Pacific Rubiales

WI: 50%, subject to ANH approvalMecaya – Gran Tierra

WI: 43%, subject to ANH approvalProduct: L/M oil exploration potentialProduction: Nil

About Putumayo

• Putumayo Basin is located in southwest Colombia

• High potential exploration targets

Highlights

• Partnered with experienced operators.

• PetroMagdalena has a beneficial 43% workinginterest in the Mecaya Block, subject to ANHapproval, with no overriding royalty and will pay 85%of the cost of the first 3D and well.

• PetroMagdalena has a 50% working interest in the

Topoyaco Block, subject to the ANH approval, with a6% overriding royalty to Trayectoria. In addition,there is a 3.5% profit interest payable to GrantGeophysical for the seismic work.

Putumayo Basin

VENEZUELA

Carbonera Block

Santacruz Block

Carbonera La Silla

Catguas Block

About Catatumbo

• Catatumbo Basin is located in northwestColombia and is the western extension ofthe very prolific Maracaibo basin inVenezuela

• High potential exploration targets

Highlights

• Partnered with experienced operators.

• PetroMagdalena has a beneficial 100%

working interest in the Carbonera Block,subject to ANH approval.

• PetroMagdalena has a 70% workinginterest in the Santa Cruz Block, and isdrilling the Santa Cruz-1X well.

• PetroMagdalena has a 58% working

interest in the Carbonera La Silla Block,an Ecopetrol association contract.

• PetroMagdalena has a beneficial 50%working interest in the northern area ofCatguas and a beneficial 15% workinginterest in the southern area. Gran Tierra isthe operator.

Catatumbo Basin

Catguas, Santa Cruz and CarboneraContracts: ANH

Operator:Catguas – Solana (1)

WI: 50% N, 15% S, subject to ANH approvalSanta Cruz – Mompos Oil and Gas (2)

WI: 70%Carbonera – Well Logging

WI: 100%, subject to ANH approval

Product: L/M oil exploration potentialProduction: Nil

(1) Wholly owned Subsidiary of Gran Tierra Energy

(2) Wholly owned subsidiary of PetroMagdalena.23

24

Maximize Value From Catatumbo Assets

Actions Taken

Farm Out Agreement for Santa Cruz:

• Retain Operatorship

• Retain 70% Working Interest

• Pay 40% of first well in Q4 – 2011, 55% of second well, 70% thereafter

Farm Out Agreement for Carbonera(1):

• YPF becomes Operator, bring extensive gas experience

• Retain 40% Working Interest

• Carried through US$23 million work program

Farm Out Agreement for Catguas:

• YPF will lead exploration program

• Retain working interests of 15% in North area and 4.5% in South area

• Expected to be carried through 2012 work program

(1) Farm Out Agreement for Carbonera in process and subject to ANH approval

25

• Santa Cruz-1 spud on Nov.

20th, 2011, and casing run over the

Mirador Fomation on Feb. 24th, 2012.

The A Block which has an area of

750 acres with a primary target

(Mirador) thickness of over 300 ft of

high porosity & permeability SS

reservoir.

• The Santa Cruz Block has several

faulted structures assigned

prospective resources based on the

3D seismic interpretations and

information from the offset Rio Zulia

field

• A contingent exploration location

has been identified in the C Block to

the north of the Santa Cruz-1X well.

Catatumbo Basin – Santa Cruz-1

Operator: Mompos Oil and Gas (1)

WI: 70%

C: 700

acres

Total of

3480 acres

F: 420

acres

E: 580

acres

D: 230

acres

A: 750

acres

B: 800

acres

Santa Cruz – 1, TD Q1 - 2012

Santa Cruz – 2, TD Q1 - 2013

26

Cash position (December 31st , 2011): $15.0 million

Debt (December 31st , 2011):

Factoring Loan (maturing Oct 2012)

Bank term loans (maturing May/ Aug 2013)

9% Senior Notes ( $10.4MM maturing May 2014)

$5.1 million

$6.6 million

CA$31.1 million

Share price (February 21, 2012): CA$1.51

Shares outstanding: 147.07 million

Options outstanding ($2.17 average)

Warrants outstanding ($3.50)

13.5 million

19.0 million

Fully diluted: 174.8 million

Market capitalization - undiluted (February 21, 2012): CA$220.7 million

Capitalization

Share price performance vs peer index

vs TSX energy index (Last 6 months)

27

50

70

90

110

130

150

170

190

Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Jan-12

PMD vs Peers Index* & Benchmark (Normalized)

PetroMagdalena Energy Corp Peer Index* TSX Energy Index

Company Percentage

increase

PetroMagdalena

Energy

48.51%

Peer Index* 8.81%

TSX Energy Index 10.99%

* Peer Index: 5 TSX listed E&P companies with production above 1,000 barrels per day

0

500,000

1,000,000

1,500,000

2,000,000

$0.75

$0.95

$1.15

$1.35

$1.55

$1.75

$1.95

Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Jan-12

PMD Price Volume Graph

Volume PetroMagdalena Energy Corp

TSX.V: PMD

6 months: High - Low $1.80 – $0.86

6 months: Average Volume 203,511

52 week: High - Low $2.35 – $0.93

28

Leadership team

Luciano Biondi

Chief Executive Officer

Gregg K. Vernon, P. Eng.

Chief Operating Officer

Michael Davies, C.A.

Chief Financial Officer

Francisco Bustillos, M.Sc.

Colombian Finance &

Administration Manager

Jesus Aboud

Exploration Manager

Peter Volk, LL.B.

General Counsel & Secretary

Management

Jaime Perez Branger

Executive Chairman

Miguel de la Campa

Serafino Iacono

Ian Mann

Robert Metcalfe

Luis Miguel Morelli

Directors

Appendix

29

Assets in the most prolific basins

Area Operator (2)

Gross Acres WI (2)

Contract Stage Product Status

Llanos Basin

Cubiro PMD 61,295 60.5-70-57.13% ANH E&P Light Oil Core Asset

Arrendajo Pacific Stratus 78,102 67.5% ANH Exploration Light Oil Near Cubiro*

La Punta Vetra 19,313 Up to 6% ECP E&P Light Oil Under review

Yamu WOGSA 18,194 10% ANH Prod & Exp Light Oil Producing

Catatumbo Basin

Carbonera Well Logging 63,727 100% ANH E&P Oil & Gas Farm-Out

Catguas Gran Tierra 330,35515% / 50%

S N (1) ANH Exploration Oil & Gas Farm-Out

Santa Cruz Mompos 40,058 70% ANH Exploration Light Oil Exploration

Carbonera – La

SillaMompos 12,558 58% ECP E&P Light Oil

3D seismic work plan

in place

Magdalena Basin

Las Quinchas Pacific Stratus 124,493 24.5% ECP E&P H Oil To Be Sold

Rio Magdalena Gran Tierra 36,156 56% ECP E&P Gas/Cond/

OilJV or Farm-Out

Putumayo Basin

Topoyaco Trayectoria 60,035 50% ANH Exploration L/M Oil Under Review

Mecaya Gran Tierra 74,128 43% ANH Exploration L/M Oil 3D seismic planned

(1) After Farm Out WI retained is 4.5% S/15% N. (2) Subject to ANH /ECOPETROL approvals.

* Working interest reflects acquisition of PRE’s 32%, subject to ANH approval. Yellow background = Core portfolio assets 30

Achieved Ongoing

Operations

Reduced G&A per boe by 54% Q3 2011 vs 2010 average

Increased Operating Netback by 49% 2011 YTD (9 months) from FY2010 average

Production

Achieved 98% of guidance for 2011 at 2,758 boepd

Increased reserves at Cubiro by 86% *

4 discoveries at Cubiro: Petirrojo, Copa B, Copa A Sur & Yopo

Spudded Azor-1X at Arrendajo with upside potential for block

Spudded Cernicalo-1ST in Cubiro

Spudded Arrendajo Norte-1X in Arrendajo

31

Achievements Q1 2011 through Q1 2012

* Petrotech report on Cubiro block, September 30, 2011

Achieved Ongoing

Exploration

6 exploration wells for 2012 in Cubiro O

1 exploration well for Arrendajo Norte 1X

1 exploration well for Carbonera O

Santa Cruz well in testing phase O

10 development wells planned in Cubiro O

Portfolio

Farm-out 30% of Santa Cruz

Farm-out Carbonera and Catguas to YPF *

Sale and/or farm-out of other assets (Cerrito, Dec ‘11) O

Achievements Q1 2011 through Q1 2012

* Subject to ANH approval

32

Well name2012

Quarter

Cubiro Block

Cernicalo-1ST (formerly named Cernicalo-2X) 1

Tijereto Sur-1X 1

Alondra-1X (formerly named Turpial-1X) 1

Petirrojo Sur-1X 2

Copa C-1X 3

Copa A Norte-1X 4

Arrendajo Block

Arrendajo Norte-1X 1

Carbonera Block

Cantaclaro-1X (formerly named San Roque-1X) 1

Santa Cruz Block

Santa Cruz-2X 4

2012 Exploration Program

Exploration overview 2012

• 6 exploration wells planned for Cubiro

• 1 exploration well for Arrendajo

• 1 exploration well for Carbonera

• 1 exploration well for Santa Cruz

33

34

VSM 12

VMM 35

COR 33

VSM 13

LLA 41VMM 11

MIDDLE MAGDALENA VALLEY BASIN

CORDILLERA BASIN

UPPER MAGDALENA VALLEY BASIN

LLANOS BASIN

2010 ANH Bid Round

Six E&P Assets

• Agreement for funding the

exploration

commitment, resulting in

PetroMagdalena holding a 10%

Working Interest.

35

Colombian Pipeline Infrastructure